Paying a salary does not alleviate the need to pay overtime: Another case of "bad" HR

A company learned the hard way that paying an employee a salary does not remove the obligation to pay for overtime if the employee is entitled to it. A restaurant in Akron, Ohio found this out the hard way and it ended up costing them $118,354 in back wages and damages, paid out to 21 …

Read morePaying a salary does not alleviate the need to pay overtime: Another case of "bad" HR

Other implications of misclassifying employees

When you read stories about employee misclassification most people have a tendency to think exempt vs nonexempt. Generally this kind of reclassification means an employee will now be eligible for overtime compensation and any back pay that may be due. But what happens when the employee has been classified as an independent contractor vs employee? …

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Independent Contractors and the National Labor Relations Board

We all know that the US Department of Labor and the Internal Revenue Service dislike the use of the Independent Contractor classification. Now the National Labor Relations Board has weighed-in as well and, guess what, they don’t like it either. Improper classification can lead to an unfair labor charge According to Richard J. Reibstein  of …

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Even the Department of Labor screws up the FLSA

For all of you struggling with the new overtime regulations don’t feel bad that you may find this difficult to deal with implementing. The FLSA (Fair Labor Standards Act) is actually a pretty complicated law. The nuances of the regulations and the interpretations by the DOL and the courts add yet another level of complexity. …

Read moreEven the Department of Labor screws up the FLSA

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